What is vibe coding? And are VCs buying the hype?

Published: November 2025

AI has got a new obsession, and it’s called vibe coding.

Nowadays, there’s a quiet revolution happening in software. Founders, designers, and even complete non-tech people are shipping apps without touching a single line of code.

Vibe coding is changing how products are built, who gets to build them, and how fast ideas turn into companies. And it’s not just a trend; it’s already reshaping how founders prototype, launch, and even raise money.

This guide breaks down what vibe coding actually is, how it works, the pros and cons of building with AI, and the attitude of the VC world towards this trending concept.

Let’s dive in!

What is vibe coding?

Vibe coding is a new way to build software using AI instead of manual programming.

The idea was first popularized by Andrej Karpathy in February 2025, who described it as “a new kind of coding where you fully give in to the vibes.”

At its core, vibe coding means describing what you want your app to do in plain language and letting an AI agent handle the rest – from writing the code to assembling the app.

So, you focus on the idea and outcome, not on syntax or frameworks.

The concept of vibe coding represents a major shift from writing code to actually directing AI. Instead of spending hours debugging or learning languages like Python or JavaScript, you can simply write a prompt such as:

“Build a landing page with a pricing table and a contact form using React.”

And voila, within seconds, the AI creates the structure, writes the logic, and even suggests design components. 

For sure, it’s not all that rosy. To vibe code effectively, you still need to know at least some basics, especially if you don’t want to end up in a situation like this.

One indie hacker vibe coded a SaaS product and even managed to get a few paying customers, which is already a huge win for any solopreneur.

But once his story started spreading online, trolls discovered the app and hacked it to pieces.

In the end, the product had to be taken down completely.

P.S.: He didn’t give up and kept vibe coding, learning the fundamentals, and sharing his journey online. Hopefully, his next launch will go better and safer.

So, yes, vibe coding definitely lowers the barrier to entry for non-technical creators. If you want a broader look at how AI fits into the startup-building process, read our guide on how to use AI to start a business.

You can jump in, experiment, and build something real without years of programming experience.

But it’s not a free pass. Without at least some understanding of how software works in terms of security, structure, or data management, things can go wrong fast.

AI will write the code for you, but it won’t protect you from mistakes, leaks, or trolls.

That’s why vibe coding works best when paired with human awareness and technical curiosity, the combo that keeps your creation alive once the “vibe” part ends.

Our own vibe coding experience at Waveup

At Waveup, we’ve been experimenting with vibe coding long before the term became mainstream. Here are some of our results:

• We vibe coded Waveup Hub (https://hub.waveup.com/) and scaled it to a few thousand registered users without hiring a large dev team.

• We built Tiny Adventures, a travel storytelling app for kids (a fully vibe coded app from idea to production).

• We launched FNDR OS. That’s a toolkit for founders that is now in active rollout.

• We vibe coded N2 Labs (https://www.n2labs.ai/), our AI advisory branch, going from idea → website → product stack in a matter of weeks.

• We’re currently vibe coding our partner program backend, working directly with customer databases through Claude Code.

• And we even maintain and update our investor databases through vibe coding.

So when we talk about vibe coding changing how modern products get built, we mean it literally. We’ve built products this way ourselves. And they work.

Pros & cons of vibe coding

Related read: MVP development for startups: What it is & how to do it right

How to vibe code?

As we just said, the beauty of vibe coding is that you don’t need to be a heavy developer to start. All you need is an idea and a bit of curiosity. Here’s how the process usually works:

Step #1: Pick your vibe coding tool

Start by choosing an AI coding platform that fits your goal. Tools like Replit, Cursor, Lovable, or Bolt can turn your text prompts into functional apps. Some are better for quick web projects, others for design-heavy builds, but all let you skip setup and start creating right away.

Step #2: Describe what you want to build

This is where the “vibe” part begins. Write a clear, detailed prompt describing what you want your app to do. 

For example:

“Build a simple dashboard that tracks user activity and displays charts in real time using React.”

The more specific and goal-oriented your prompt, the better your result will be. Think of it like giving directions to a designer, not a robot.

Step #3: Review what the AI creates

Your AI assistant will generate a basic version of the app, and, of course, don’t wait for it to be perfect and already working. It won’t be. But it’s a strong starting point. Run it, explore it, and note what’s missing or broken.

Step #4: Refine and iterate

Vibe coding is all about trying and refining. So, be ready to adjust your prompt all the time, ask the AI to fix bugs, add new features, or improve design. It’s better to work in small chunks, as short, focused requests lead to better results than long, complex ones.

Step #5: Check and launch

When everything feels right, test the final version carefully. Check for performance, security, and usability issues. AI can write code fast, but it still needs human eyes before going live. Once reviewed, you can deploy directly from most vibe coding tools.

The best vibe coding tools in 2025:

• Replit: The most complete vibe-coding environment. You describe your idea in plain English, and Agent creates, tests, and deploys the app directly in your browser.

• Cursor: A hybrid editor powered by GPT that helps you write, fix, and understand code in real time.

• Lovable: Turns app ideas into working prototypes with minimal manual input.

• Bolt: An AI tool that builds production-ready apps using predefined frameworks.

• GitHub Copilot: The original AI pair programmer, now evolving toward autonomous code generation.

Related read: The 36 best tools for startups & small businesses (2025 guide)

Is vibe coding fundable in 2025?

Vibe coding is hot now. And it’s hot in terms of not only the hype that surrounds this concept but also fundraising opportunities. Investors are closely watching startups that vibe code and are ready to channel serious amounts of capital their way.

Take, for instance, Supabase. This open source database from New Zealand probably didn’t expect to raise a $200 million Series D at a $2 billion valuation in 2025, and that’s all thanks to the rise of vibe coding. Or look at Replit with its $250 million round at a $3 billion valuation and Cursor that secured a $900 million investment, having been valued at $9.9 billion.

That’s pretty wild, especially considering that fundraising in 2025 is still a bit of a limbo space. Investors are willing to fund new ventures, but they’re doing it with sharper filters and higher expectations.

And some more insider info on vibe coding fundraising. 

According to Techcrunch, only a handful of mobile vibe coding apps have real traction. For instance, AI App Builder has just 16,000 downloads and $1,000 in revenue, while Vibe Studio has 4,000 downloads and zero income. Most of the growth and investment activity is happening on desktop platforms, where developers actually build, test, and ship real products using tools like Replit or Cursor.

What may it mean for you?

Actually, two things:

1. The market is hot, but not crowded yet. Investors are watching closely, looking for the next breakout product or platform.

2. There’s room for new ideas, especially those that connect AI coding with mobile experiences, collaboration, or developer productivity.

In other words, if you’ve been thinking about launching a product in this space, now’s the time to try your luck.

How to do this?

Of course, you have to start with a great idea or an MVP (or an already functional app). Then, turn it into a story investors care about, showing that your product sits at the intersection of two big trends: AI and software creation.

This means validating your concept early, collecting real user feedback, and proving that your solution isn’t just another wrapper around AI, but something that saves time, improves output, or changes how people build.

Once you have that traction, you can package your vision into a clear fundraising narrative: who you’re building for, how fast the market is growing, and why now is the right time to bet on you. 

At Waveup, we help founders in emerging spaces like vibe coding with market positioning, financial modeling, and pitch deck creation. So, if you’re building or planning to build in this space, we can assist. Talk to us and let’s discuss the details.